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Investing.com - Leerink Partners has raised its price target on Vaxcyte (NASDAQ:PCVX) to $77.00 from $60.00 while maintaining an Outperform rating on the stock. The new target represents significant upside from the current price of $49.53, with analyst consensus remaining highly bullish at 1.3 (Strong Buy).
The increase follows a non-deal roadshow in Boston on November 12, 2025, where Leerink analysts were encouraged by management’s confidence in the optimized VAX-31 pneumococcal conjugate vaccine dose that was added to the Phase 2 infant trial.
Leerink also noted that both GSK and Pfizer recently disclosed issues with their next-generation pneumococcal conjugate vaccine programs, potentially giving VAX-31 competitive advantages in the market.
The firm has increased its probability-of-success adjusted 2040 sales forecast for VAX-31 in infants from $1.5 billion to $2.5 billion, bringing total projected VAX-31 sales across infant and adult markets to $4.8 billion, up from a previous estimate of $3.8 billion. This optimistic outlook comes despite InvestingPro data showing the company is currently not profitable, with a diluted EPS of -$4.84 over the last twelve months.
Vaxcyte expects initial VAX-31 adult Phase 3 results in 2026 and VAX-31 infant Phase 2 results in 2027, with the company maintaining sufficient cash runway through mid-2028. InvestingPro data confirms the company’s strong financial position with more cash than debt and a robust current ratio of 8.83, supporting its development timeline. The stock has shown impressive momentum with a 54.64% price return over the past six months. Discover 10+ additional ProTips and comprehensive analysis in Vaxcyte’s Pro Research Report, available with an InvestingPro subscription.
In other recent news, Vaxcyte, Inc. has signed a significant manufacturing agreement with Thermo Fisher Scientific valued at up to $1 billion. This deal aims to establish fill-finish commercial manufacturing for Vaxcyte’s pneumococcal conjugate vaccines in the United States, specifically at Thermo Fisher’s Greenville, North Carolina facility. Additionally, Vaxcyte has made progress in its clinical trials by advancing its VAX-31 pneumococcal vaccine to the final stage of an infant Phase 2 study. This study focuses on a 31-valent pneumococcal conjugate vaccine candidate, which is being compared to Prevnar 20, the current standard of care. In terms of analyst activity, Goldman Sachs has initiated coverage on Vaxcyte with a Neutral rating and set a price target of $38.00. The firm acknowledges Vaxcyte’s vaccine discovery and development platform, which has shown promising data over the past three years. These developments position Vaxcyte as a potential key player in the approximately $8 billion pneumococcal vaccine market.
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